The novel of Twitter and Elon Musk continues, and now Elon makes a move by selling part of his Tesla shares to obtain almost seven billion dollars.
It’s the biggest sale ever recorded by Musk, and he justifies it by saying he needs cash in case he has to go through with the deal to buy Twitter.
He has already sold around 32 billion in Tesla shares in the last 10 months, so it is not the first sale he has made, although he has a fortune of 250.2 billion, so it does not even reach 10% of everything you have.
The message he has given has been somewhat desperate:
In the (hopefully unlikely) event that Twitter forces this deal to close and some equity partners don’t, it’s important to avoid an emergency sale of Tesla stock.
It is clear that if they force him to buy Twitter, he will do so reluctantly, and that being the owner of Twitter in these conditions will not be good for the social network.
If the deal doesn’t close and Musk isn’t forced to buy Twitter for the promised $44 billion, he will buy back the Tesla stock he has sold.
Elon Musk accuses Twitter of hiding the number of bots that its database hides, and that is the reason why he justifies his refusal to go ahead with the purchase. Twitter shareholders, on the other hand, want the deal finalized for two reasons:
– The amount that Musk offered was higher than the value of Twitter at the time.
– With all the controversy that has arisen with the matter, the value of Twitter has fallen a lot, and they blame Musk for it.
At the moment a trial has already been set in the Delaware Court of Chancery for October. Experts believe that there is a 75% chance that Elon Musk will have to buy Twitter for the agreed price.